Murdoch: Family to be in charge

NEWS Corpation chairman Rupert Murdoch has for the first time made reference to his succession, saying it would be 'nice' to have a Murdoch at the helm of the company in a decade's time.

The succession issue at the media giant was raised last year with the exit of Rupert's son Lachlan, who left the company to pursue his own interests in Sydney. Lachlan was seen as the most likely family member to take over.

Murdoch did not name his preferred successor during a rare interview on Radio Five. But his son James, the BSkyB chief who has also been at the forefront of the company's new media interests, is seen as the most likely.

Rupert's daughter Elizabeth also left News Corp after working for BSkyB and is now chairman and chief executive of independent production company Shine.

In the interview, Murdoch also revealed big ambitions for BSkyB, rejecting suggestions that the current figure of eight million subscribers represents a ceiling.

'Certainly we can go way beyond eight million,' he said. 'We are bringing in lots of new services - high definition, which revolutionises the picture, and sport.' He brushed off the European Union's attacks on the TV station's exclusive football broadcasting rights.

'The EU doesn't seem to like anyone who is successful. That's OK,' he said. He did not believe there is a vendetta against News Corp, but 'they think we're too strong or something'.

He said too little credit had been given for how BskyB had built its football coverage. 'We bet the company doing it and nearly lost it,' he said. 'We got through it and now it's a great asset.'

Murdoch predicted a 'golden age' for media. And he defended News Corp's ' poison pill' takeover defence against Liberty Media's John Malone, who has built an 18% stake in the group.

'Personally he [Malone] is a friend,' Murdoch said. 'But the fact is he has got 18% and he doesn't play any part in the company at all, and as a result we brought in what's called a poison pill which has been much criticised but which is totally common in America.' He said the defence was necessary. 'It makes it very difficult for them to take over surreptitiously,' he said.

'They have to come to the front door, talk to the board and say, 'We'd like to take you over, what's the right price?'.' The poison pill plan would flood the market with extra shares if any shareholder acquires more than 15% of News Corp's voting shares.

Some shareholders are sueing News Corp in a Delaware court for reneging on promises to seek their approval before extending terms of the defence. But Murdoch says antipathy to the plan is driven by corporate governance groups, not shareholders.

'They haven't been angry with us at all. You listen to these headline-grabbers in London - they don't have any shares.'